The change in the interest rate due to a change in the supply of loanable funds is referred to as the __________ effect
A) income
B) expectations
C) liquidity
D) real
C
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The Ricardo-Barro effect asserts that
A) government saving affects private saving. B) government budget deficits crowd out private borrowing. C) government expenditure affects private expenditure. D) taxation raises interest rates.
"Today the U.S. telecommunications industry remains heavily regulated by the government as it was some 30 years ago." Do you agree or disagree? Why?
What will be an ideal response?
Which of the following is a correct characterization of socialism?
a. Tradition answers the basic economic questions. b. Markets are used exclusively to answer the basic economic questions. c. Central planning is seldom used to answer the basic economic questions. d. Government ownership of many resources and centralized decision-making answers the basic economic questions.
When we calculate GDP, imports are
A. Subtracted from exports and included in gross investment. B. Subtracted from total spending because they are part of another country's GDP. C. Added to exports because both represent purchases of final goods. D. Subtracted from exports to obtain gross exports.